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CMGT 549
Case Studies in Digital Entertainment
Summer 2010
Instructor:Paolo Sigismondi, MBA, PhD
Section:051-21745D, 06:00-10:00pm MW
E-mail:
Office Hours:4:00 – 6:00 pm Monday and by appointment
COURSE DESCRIPTION
The unfolding effects of the Information and Communication Technology revolution are ushering in significant changes in the content, conduits, and business models of the entertainment industry. The convergences and collisions of the telecom, media, and entertainment industries at the turn of the 21st century provide new challenges for the entities operating in the different sectors and offer potential opportunities for entrepreneurial endeavors. Through case studies in digital entertainment this course explores the evolutions of business practices of the different sectors of the entertainment industry within the regulatory environment of U.S. media policy in the digital age. It analyzes how new and old entities in thefilm, television, sports,and music sectors are evolving and adapting tocreate, deliver, and capture value in a competitive landscape shaped by the increasing digitalization of media content and platforms.
COURSE GOAL
The goal of the course is to provide participants interested in careers in the media and entertainment industry analytical toolstoidentify key success factors in next-generation media and entertainment. The analysis draws on relevant interdisciplinary theoretical frameworks as well as practical applications from case studies to bridge the gap between theory and practice utilizinglectures, articles, industry reports and featuring guest speakers who provide current insights from practice.
ABOUT THE INSTRUCTOR
Paolo Sigismondi, MBA, PhD has more than a decade of work experience in the global media and entertainment industry. He held executive positions in two of Europe’s largest media holding companies, Mediaset and Telemontecarlo networks, and most recently worked at Warner Bros., in its International Television Distribution division.
REQUIRED TEXTS
Gerbarg, D. (Ed.) (2009). Television goes digital. New York: Springer. Available through the USC electronic library system.
Küng, L, Picard, R. G. & Towse, R. (Ed.) (2008).The Internet and the mass media. Thousand Oaks, CA: Sage Publications. ISBN 978-1-4129-4734-3
Squire, J. E. (2004) (Ed.) The movie business book.3rd edition. New York: Fireside
ISBN 0-7432-1937-6
The rest of the readings are in a course reader available at the USC bookstore, or are available on line. There may be additional short readings distributed in class.
ADA COMPLIANCE STATEMENT
Any student requesting academic accommodation based on a disability is required to register with Disability Services and Programs (DSP) each semester. A letter of verification for approved accommodations can be obtained from DSP. Please be sure the letter is delivered to your instructor as early in the semester as possible. DSP is located in STU 301 and is open 8:30 a.m. – 5:00 p.m., Monday through Friday. The phone number for DSP is 213-740-0776.
ACADEMIC INTEGRITY
The AnnenbergSchool for Communication is committed to upholding the University’s Academic Integrity code as detailed in the Scampus guide. It is the policy of the School of Communication to report all violations of the code. Any serious violations or pattern of violations of the Academic Integrity Code will result in the student’s expulsion from the Communication major or minor.
COURSE REQUIREMENTS
- Class participation. Students are expected to make informed contributions to class discussions and online activities, coming to class having completed all assigned readings.
2. Midterm exam. There will be a take-home midterm exam, due July 26, to be turned in via e-mail to the instructor.
3.Course project. Student will individually conduct research on a topic related to the course. The end result will beeither a White Paper or a case study on Digital Entertainment. The final presentations will take place in the last week of classes, and they must include visual aids and a short paper (8-10 pages suggested).
4.Final exam. There will be a take-home final exam to be turned in via e-mail to the instructor by 9:00 pm PST Aug. 15.
GRADING
Requirements will be weighed as follows:
Class participation 10% - 50 points
Midterm exam 25% - 125 points
Course project 40% - 200 points
Final exam 25% - 125 points
Total 100% - 500 points
Class Schedule
1. The digital entertainment landscape: An overview (Jun. 30)
Cowhey, P. F. & Aronson, J. D. (2009).The next revolution in global information and communication markets - The first two ICT eras. In Transforming Global Information and Communication Markets: The Political Economy of Innovation. Cambridge: MIT Press (Chapters 1 & 2,pp. 1-42) Available at:
Küng, L, Picard, R. G. & Towse, R. (Ed.) (2008). The Internet and the mass media. Thousand Oaks, CA: Sage Publications. Chapter 1 (pp. 1-16): Introduction.
Picard, R. G. (2005). Unique characteristics and business dynamics of media products. Journal of Media Business Studies 2(2), pp. 61-69. Available at:
Shapiro, C. & Varian, H. R. (1999) Information rules: A strategic guide to the
network economy.Boston: HarvardBusinessSchool Press. Pp.1-18 (Chapter 1: The information economy).
2. July 5 Independence Day – University holiday: NO CLASS
3. The entertainment industry sectors: Movies (Jul. 7)
Squire, J. E. (2004) (Ed.) The movie business book.New York: Fireside. Sections I:
The Creators and II: The Property, pp. 1-99.
4. Movies - continued (Jul. 12)
Squire, J. E. (2004) (Ed.) The movie business book.New York: Fireside. Sections III:
The Money, IV: The Management, and VI: Production, pp. 100-183 and pp. 232-281.
5. Television content: Scripted and non- scripted entertainment (Jul. 14)
Berman, S. J., Duffy, N. & Shipnuck, L. A. (2006). The end of television as we know
it: A future industry perspective. Somers, NY: IBM Institute for Business Value. Available at: pp. 1-27.
Gerbarg, D. (Ed.) (2009). Television goes digital. New York: Springer. Part I: The changing television business, pp. 1-62.
Keane, M. & Moran, A. (2008). Television’s new engines. Television and New Media. 9(2), pp. 155-169.
Magder, T. (2009). Television 2.0: The business of American television in transition. In. S. Murray & L. Ouellette (Ed.). Reality TV: Remaking television culture. New York: NYU Press, pp. 141-164.
Case study: Big brother and Endemol
Optional reading: Bazalgette, P. (2005). Billion dollar game: How three men risked it all and changed the face of television.London: Time Warner Books.
6. Music, Sports (Jul. 19)
Driscoll, R. (2009). The impact of digital technology on the record industry. The Music Business Journal. Available at:
Dubini, B., & Provera, B. (2008). Chart success and innovation in the music industry:
Does organizational form matter? Journal of Media Business Studies 5(1),pp. 41-65. Available
at:
International Federation of the Phonographic Industry (IFPI) (2009). Digital music report 2009: New business models for a changing environment. Available at: pp. 1-31.
Jokel, S., Will, A. & Nawrath, U. (2007). Consumer preferences toward commercial music downloads. Journal of Media Business Studies 4(3).Pp. 1-20.Available at:
Case study: NBC 2008 Olympics coverage
7.The digital revolution impact on the entertainment industry: Digital content
(Jul. 21)
Bakker, P. & Sadaba, C. (2008). The impact of the Internet on users. In Küng, L, Picard, R. G. & Towse, R. (Ed.) In Küng, L, Picard, R. G. & Towse, R. (Ed.) The Internet and the mass media. Thousand Oaks, CA: Sage Publications. Chapter 5 (pp. 86-101).
Gerbarg, D. (Ed.) (2009). Television goes digital. New York: Springer. Part III: Content, pp. 115-172.
Squire, J. E. (2004) (Ed.) The movie business book.New York: Fireside. Section XIV:
The Future, pp. 498-530.
Van der Wurff, R. (2008). The impact of the Internet on media content. In Küng, L, Picard, R. G. & Towse, R. (Ed.)The Internet and the mass media. Thousand Oaks, CA: Sage Publications. Chapter 4. (pp. 65-85).
8. Digital delivery platforms (Jul. 26)
Gerbarg, D. (Ed.) (2009). Television goes digital. New York: Springer. Part II: Technology: Content creation and distribution, pp.63- 114.
Henten, A. & Tadayoni, R. (2008). The impact of the Internet on media technology, platforms and innovation. In Küng, L, Picard, R. G. & Towse, R. (Ed.) The Internet and the mass media. . Thousand Oaks, CA: Sage Publications. Chapter 3 (pp. 45-64).
Küng, L, Picard, R. G. & Towse, R. (Ed.) (2008). Theoretical perspective on the mass media industry. In The Internet and the mass media. Thousand Oaks, CA: Sage Publications.Chapter 2 (pp. 17-44).
PriceWaterhouseCoopers (2009). Communications review: New directions. Available at: pp.1-66.
MIDTERM TAKE-HOME EXAM DUE
9. New business models in a digital environment (Jul. 28)
Ala-Fossi, M., Bakker, P., Ellonen, H., Küng, L., Lax, S., Sadaba, C. & Van der Wurff, R. (2008). The impact of the Internet on business models in the media industry – a sector by sector analysis. In The Internet and the mass media. Thousand Oaks, CA: Sage Publications. Chapter 8 (pp. 149-169).
Elberse, A. (2008). Should you invest in the long tail? Harvard Business Review. Available at:
PriceWaterhouseCooper (2009). A brand new era: managing in a downturn, positioning for an upturn in the media sector.Available at:
pp. 1-10.
Squire, J. E. (2004) (Ed.) The movie business book.New York: Fireside. Sections V:
The Deal, VIII: The Revenue Streams, IX: Theatrical Distribution, and X: Theatrical Exhibition,
pp. 184-231 and pp. 332-407.
10.Convergence, Innovation, Intellectual Property Rights and Net Neutrality(Aug. 2)
Burgelman, R. & Meza, P. (2003). A look at three regulatory forces influencing content and distribution in the motion picture and television industry. Case study # SM-105: Stanford Graduate School of Business, pp. 1-11.
Freedman, D., Henten, A., Towse, R. & Wallis, R. (2008). The impact of the Internet on media policy, regulation and copyright law. In Küng, L, Picard, R. G. & Towse, R. (Ed.) The Internet and the mass media. . Thousand Oaks, CA: Sage Publications. Chapter 6 (pp. 102-124).
Gerbarg, D. (Ed.) (2009). Television goes digital. New York: Springer. Part IV: Legal and regulatory issues, pp. 173-224.
Lessig, L. (2004). Free culture. New York: Penguin Press (chapters 3-10, pp. 48-174). Available at:
Sigismondi, P. (2009). Hollywood piracy in China: An accidental case of US
public diplomacy in the globalization age? Chinese Journal of Communication, 2(3), pp. 273-287.
11. Strategic trends across the entertainment sectors (Aug. 4)
Everette, E. D., Warley, S. & Sheridan, J. (2006).Doing digital: An assessment of the top 25 U.S. media companies and their digital strategies.Journal of Media Business Studies 3(1), pp. 33-51. Available at:
Küng, L, Leandros, N.,Picard, R. G., Schroeder, R. & Van der Wurff (2008). The impact of the Internet on media organization strategies and structures. In Küng, L, Picard, R. G. & Towse, R. (Ed.) The Internet and the mass media. Thousand Oaks, CA: Sage Publications., Chapter 7 (pp.125-148).
Küng, L (2008). Trends in the strategic environment. In Strategic management in the media: From theory to practice. Thousand Oaks, CA: Sage Publications. (pp.82-90).
12. Project presentations (Aug. 9)